Shareholders of ODM (On Digital Media), the owner of South African pay-TV platform
TopTV, which has been in business rescue since October 2012, have voted to accept
the business rescue plan offered by Chinese company Star Times.
In the past week TopTV received two other offers, from the East Africa-based
Wananchi Group, and local consortium, Dynamic TV, which had the backing of
MultiChoice, owner of the DStv pay-TV platform.
A TopTV statement released on 30 April reads: “Peter van den Steen, in his capacity
as business rescue practitioner of TopTV, presided over a meeting today in terms of
section 151 of the Companies Act No.71 of 2008, for the purpose of considering a
business rescue plan incorporating a proposal by Star Communication Technology Co.
Ltd (known as “Star Times’) to creditors in respect of their claims and a turnaround
plan to restore TopTV to a solvent future for a minimum of the next three years (the
“Rescue Plan’).
“The Rescue Plan was preliminarily adopted by an overwhelming majority of 93.9% of
creditors that voted, of which 52.9% represented independent creditors’ voting
interests. The Rescue Plan was thereafter finally adopted by a unanimous vote of
preference shareholders (100% in favour) and a majority vote of ordinary shareholders
(99.3% in favour). The Rescue Plan is now binding on TopTV, the creditors and all
shareholders, whether or not such person was present at the meeting.
“Mr Van den Steen is now required to take all necessary steps to satisfy all creditors
and implement the adopted Rescue Plan. Within the past two business days, two
unsolicited expressions of interest were received by Mr Van den Steen. The salient
terms of the expressions of interest were presented during the meeting, after which
creditors and shareholders were invited to discuss the Rescue Plan. Upon the
conclusion of that discussion, and a break to enable creditors and shareholders to
obtain approvals and mandates, the Rescue Plan was voted and finally adopted by
the creditors and shareholders of TopTV.’
